Passing Wisdom Before Wealth with Dr. Kelly Rush

0:00This Faith and Finance podcast is underwritten in part by Timothy Plan. Good news. Since 1994, Timothy Plan has shared good news with investors and advisors by offering a family of funds that honor your faith. Learn more at TimothyPlan.com. What will you leave to the next generation? Will they be prepared to steward it well? Hi, I'm Rob West. A faithful wealth transfer involves more than deciding who gets what. Scripture gives us a remarkable picture in David who prepared Solomon, not only with resources, but with wisdom, purpose and responsibility. Today, Dr. Kelly Russ joins us to explore what David's example can teach families about passing wealth well. And then it's on dear calls at 800-525-7000. This is Faith and Finance, Biblical Wisdom for your financial decisions.

1:04Well what a treat to have Dr. Kelly rush back on the program. She's a professor of finance, financial planning program coordinator, and chair of business and technology at Mount Vernon Nazarene University. She also serves on the board of Kingdom Advisors, and Kelly has a real passion for helping students develop a Biblical worldview of money. And today she's bringing that perspective to an important topic, Biblical wealth transfer Kelly, great to have you. Thank you, Rob. It's great to be back with you. Kelly, let's start by setting the stage. Why is David's transfer of wealth to Solomon, such an important example for us to consider? Well, David is remarkable. We think of him as a shepherd, a musician, a warrior, a king, but he was a father. Yes. Solomon ultimately became history's wealthiest king, but before that happened, David prepared his son for great riches and great responsibility. That responsibility was to build a temple for the Lord in Jerusalem, but what makes me so excited about David's wealth transfer is that Kingdom Advisors' wealth transfer principles

2:10reflect David's actions. Yeah, they sure do. We often refer to this as something called the Unity Principle here at Kingdom Advisors. I'd love for you to unpack that. And how do we see David and Bathsheba model it in their planning for Solomon? Yeah, well, the Unity Principle is an important concept that Kingdom Advisors apply when helping clients make wealth transfer decisions. And the principle is that husbands and wives need to be unified in their plans for transferring wealth. Yes. And we see this powerful example in Scripture with David and Bathsheba in 1 Kings 1. So David's throne is under attack by one of his sons Adonaija. And he attempted to make himself king. And it was Bathsheba who really stepped in and helped resolve that situation. And she brought the matter to David's attention. And David was able to act on Bathsheba's reminder of what the Lord would have them to do. And ultimately, their unity and the decision that Solomon would reign on David's throne

3:10after David was what really resolved that attempted coup before it could gain momentum. And it gives us a really beautiful picture of what it can look like when couples are on the same page in terms of wealth transfer decisions. And when husbands and wives are united in their plans today, it fosters the same kind of peace for families. The entire family can move forward with confidence. Children, airs, siblings, and their family members have greater clarity about what comes next when that couple is speaking with one voice. Yeah, that's really important. So that's this unity, principal husbands and wives need to be unified in their plans for transferring wealth. That leads us to the next principle we teach. And that is the wisdom principle, the idea that we shouldn't pass on wealth without also passing wisdom. Where do we see that in the story of David and Solomon? As such, will and heavily be transferred because ultimately no one takes wealth with them when they die. Parents have this great privilege and great responsibility of preparing the next generation to steward wealth wisely.

4:12And yeah, you're right. We do see that with David's relationship with Solomon. David prayed that the Lord would give Solomon wisdom and understanding. And then David communicated that wisdom directly to his son. He told his son, I want you to know the God of your father and serve him with a whole heart. So Solomon needed that spiritual counsel early on. But David didn't stop there. He also gave Solomon practical instruction for the work ahead. David had detailed plans for the temple, including the treasuries and the inner rooms. And he provided those plans to Solomon. We know those lessons took root because Solomon went on to build a magnificent temple. And he was also a man of wisdom. That principle remains just as important today. Parents should provide both biblical foundations and practical skills for transferring resources just like David did with Solomon. Passing wealth to someone lacking wisdom could cause significant harm. But when wisdom comes first, the next generation is prepared to steward resources they receive.

5:15That is what it means to pass wisdom before passing wealth. Yeah, that's a big idea. Faithful wealth transfer is about more than passing assets. It's about preparing the next generation to receive the assets and steward it wisely. We're joined today by Dr. Kelly Rush. She's a professor of finance and Mount Vernon Nazarene University and much more on biblical wealth transfer right after this. Stick around. As the leading advocate for the Christian financial industry, Kingdom Advisors serves the public by promoting the integration of a biblical world view across every aspect of the financial services industry. We serve a growing network of thousands of Christian financial professionals equipping and empowering them to carry biblical financial wisdom to their clients, peers and community. For more information, visit KingdomAdvisors.com. That's KingdomAdvisors.com

6:27One of the key decisions you'll make as a steward is selecting and preparing the next steward. We're talking about principles from God's Word that really can inform that process. Dr. Kelly Rush is with us today. She's a good friend. She's a board member of Kingdom Advisors. She's also a professor of finance and financial planning program coordinator at Mount Vernon Nazarene University. We're talking about David and Solomon and how we can glean wisdom from God's Word for the wealth transfer process. For the break, we've talked about the unity principle that husbands and wives need to be unified in their plans for transferring wealth.

7:29We also talked about the wisdom principle that you must transfer wisdom before wealth. Now, Kelly, before transferring wealth, David, of course, considered Solomon's readiness to receive it. So, what can families learn about avoiding the danger of giving too much too soon? I love that David did this. So David knew of his son, Solomon, that he was young and inexperienced. We know that from First Chronicles 22. And so, it was David's responsibility to get him ready and that preparation unfolded in stages. He imparted wisdom first and then he imparted practical plans and guidance. And then at just the right time, those resources were transferred to Solomon. And families really have the opportunity to do the same thing today, imparting wisdom to young children and practical skills as they get older and older. And then eventually, they'll be ready for those resources at just the right time. Today, there are many ways families can avoid too much too soon.

8:30It can begin early by giving children incremental responsibilities as they mature. For example, parents can use joint accounts with minors or young adults to help them learn how to manage resources. As those heirs grow older and the value and impact of the wealth increases, trustee oversight can provide a layer of both training and protection for the family. Yeah, no doubt. Let's dig into that a little deeper. Kelly, how can parents wisely determine both the right amount and the right timing when transferring wealth to the next generation? Well, there really is no one-size-fits-all answer to this. Before making significant gifts, parents should consider the spiritual, emotional, financial maturity of the person receiving the wealth. It's not simply about age. And where there are gaps in maturity or experience, those are really opportunities for further training. That's what we see David doing with Solomon. And today, it really looks like open communication. Air shouldn't be surprised by wealth transfer plans or even learn about wealth transfer

9:35plans after a parent passes away. Instead, parents should communicate both their plans and their expectations well in advance. Open communication then gives the air an opportunity to ask questions. They can seek counsel from their parents and they can speak into the timing of when they believe they are ready. Families should recognize that wealth transfer plans are not static. They should adapt as the next generation matures, as circumstances change, and as new opportunities for stewardship emerge. Yeah, that's exactly right. And this is, by the way, folks, a key place that a certified kingdom advisor can enter this conversation because they can actually not only help you think about applying these principles in your own wealth transfer process, they can help with that family meeting and how you communicate that down through the generations. Let's go to find us, C-K-A-A-D-C-A-D-Com to connect with a certified kingdom advisor in your area. Now, Kelly, let's talk about the next principle and that is the treasure principle.

10:36It's the idea that we can't take our wealth with us, but we can use it now for purposes that outlast us. Where does that show up in David's story? The treasure principle is really about recognizing that our wealth has a purpose beyond our own lifetime. We can't take earthly treasures with us, but we can use them in ways that create lasting kingdom impact. David's example here is remarkable too. The value of the treasures described in First Chronicles 22 and 29 would be worth tens of billions of dollars today. It was vast wealth because David dedicated resources from both Israel's national treasury and his own personal wealth toward the building of the temple. David knew God had not called him to build the temple. Solomon would do that. But David had the privilege of preparing the resources. And David wasn't alive for the groundbreaking, but he was highly involved in the planning and saving ahead of time. Yeah, that's an important detail. Now, for families today, though, what are some practical ways, Kelly, to use wealth now

11:38for purposes that will outlast us? Well, there are several ways families can send it ahead. First, prioritizing generosity. Generosity is a muscle we build over time. Families can fund ministries or missions while you're here to see the fruit, and it will be easy to build generosity into your state plan. Second, families can create a mission statement that helps direct future inheritances toward purposes that reflect your family's values and internal priorities. Families can consider tools such as testimentary or charitable trust that can help guide errors towards stewardship rather than simply consumption. Finally, involving errors and giving decisions early. Shared giving experiences can strengthen relationships while passing along both values and a vision for generosity. The goal is to make generosity a part of the family culture before wealth is ever transferred. Yeah, that's a really big idea to build that in and practice it ahead of time. Even get your kids involved in the giving.

12:40Perhaps that's where a donor advice fund can come in and this can work at all ages as well. You can take your young children and get them involved in the giving and perhaps even your adult children as well. Kelly, what's the key takeaway you'd want to leave families with who hope to finish well and steward what they pass on faithfully? I would say maintain an internal perspective. Ron Blutottis, that the longer your perspective, the better your decision is today. We pass wisdom to our children today because we want them to steward well in the future. We communicate our wealth transfer plans today because we want errors to be prepared. And we build generosity into our state plans today because we want to send resources ahead for the kingdom. Just like David did, we can prepare the next generation and align resources with God's purposes beyond our lifetime. This is so good. Kelly, I want to finish with your own personal experience in this. Now I know your kids are still at home, but how can we use financial capital to really

13:45grow the spiritual capital and perhaps even through experiences or otherwise? Yeah, for our family, we have used financial capital for things like family mission trips. And we started early taking our kids as a family traveling together, teaching them to share the gospel with all people. And so that's been something that's been a blessing for my kids is they've grown up and we want them to then continue that with the next generation because they've been taught how to use financial resources to build spiritual capital in the next generation. Oh, so good. Well, folks, this is such a key idea that we want to pass wisdom before wealth that we can look to God's word for this roadmap that we need to be unified with our spouse that we need to be intentional because we can't take it with us, but we can send it on ahead. And then we always want to pass wisdom before wealth. From really key ideas when it comes to thinking about preparing the errors for the assets and preparing the next steward. Kelly, thanks for your time today.

14:46Thanks for my pleasure. That's Dr. Kelly Rush with Mount Vernon, Nazarene University. And before we head to the break, I want to let you know that our newest faith-fi field guide, how do I prepare the next steward launches in just a few weeks? Just designed to help families think beyond simply passing on assets and consider how to prepare the next generation with wisdom and values and practical skills to steward wealth faithfully. You can pre-order your copy or place a ball quarter before its release at faithfi.com slash shop. That's faith fi.com slash shop. We'll take a quick break and then come back with much more. Here's our goal to be an encouragement to you to point you back to God's word and help you live as a wise and faithful steward. This is Faith and Finance. Thanks for being with us. More to come right after this.

15:46Money always seems to ask for more. More income. More savings. More security. But what if the better question is, how much is enough? This faith-fi field guide isn't just a book to read. It's a practical guide that helps you prayerfully answer that question for your own life. One step at a time. Order your copy of how much money is enough today at faithfi.com slash shop. That's faith fi.com slash shop. We are grateful for support from Timothy Plan. Since 1994, Timothy Plan has shared good news with investors and advisors by offering faith honoring mutual funds and exchange traded funds. More information is at TimothyPlan.com. The investment objectives, risks, charges and expenses are contained in the prospectus and summary prospectus available at TimothyPlan.com. Mutual funds distributed by Timothy Partners Limited and ETFs distributed by four side funds services LLC. Investing involves risks, including possible loss of principle.

16:50Thanks for joining us today on Faith and Finance. We're taking your calls and questions. Let's dive in. We're going to begin in Illinois today, Matthew. Thanks for your call. Go ahead. Yes. My bank is being bought out by another bank. And I've talked to the new bank. And if I go out of town, they are limited on ATM access as far as a network ATM. And I was wondering what your suggestion would be on finding like an online bank that's part of a more mission-wide ATM network? Yeah, very good. So when you say online bank, what is it that's drawing you to an online bank? It's really about that ATM network or something else. Well, I've been looking at Ally Bank and just with my work hours, I am off only one day a week right now and that day being Sundays. And so if I have to make any deposits, I'm trying to count. If I need to make any cash deposits, I can do that over one month in the money center on a Sunday. Yeah, makes sense.

17:51So you're really just looking for the best smartphone app, the best ATM network, perhaps the best interest rates on savings accounts, that type of thing. Yeah, I think you're on the right track in terms of the ratings and it changes from time to time. But if you were to go look at maybe the top two comparison sites right now, Nerd Wallet and Bank rate, among others, I think what you'd see is that Ally is consistently one of the best all around online banks. They do provide out of network reimbursements, 75,000 fee free ATM's. They have a great smartphone app, great website. They're known for their customer service. So I think you're on the right track there. A couple of others that you may want to look at that would also rank very highly among the online banks with a strong ATM network. Central Schwab bank actually of the brokerage firm, Charles Schwab, is known for being the best for travelers.

18:53They have an unlimited worldwide ATM fee rebate. And if you're really looking to use ATM's exclusively, that could be a great option for you plus they have a great money market. Sofi bank, you may know them as an online bank. They're also in the lending space as well, but they have a very strong overall online banking platform. And then if you check Bank rate in Nerd Wallet, you'd probably see Alliant, Credit, Union, as well as Axos. I would also say that more and more of our listeners are looking for a Christian solution. They want a banking partner that's aligned with their values as Christ followers and long time sponsor here of the program. And really the biggest Christian Credit Union in the country is a Delphi Christian banking. They're offering 4% on their money market. They've got the Visa cash back. We're part of it. Every swipe goes to ministries doing incredible work in the name of Jesus and a huge ATM network.

19:57You could check them out at faithfi.com slash banking. But hopefully that at least points you in the right direction, Matthew. Thank you, sir. Absolutely. Thanks for your call. Let's go to Chicago. Hi Nancy. Go ahead. Hi, Rob. Thanks for taking my call. So I am 40 years old and I have three, four, one K accounts from previous employers just kind of sitting there. And I've been talking to some financial advisors. A couple of them are saying that I can all combine them into one account. And my return would be like eight to 10%. And another financial advisor is telling me that I can, he can invest in like a hedge fund. And I would be getting between 15 to 17% return. Yeah. The question is always with what amount of risk. So is there something that could, you know, and has generated 15 to 17%? Yes. But hedge funds are high risk.

20:59And so that promise should raise a red flag, especially if they're offering any kind of guarantee or expectation that that should automatically be earned. Any time an advisor is making bold claims like that, I would get a second opinion, especially with your retirement money. I'd want to know what the fund is, what it invests in, what the risks are. And I'd make sure that this advisor is a fiduciary who's legally required to ask in your best interest. But bottom line is, promised high returns beyond the norm. And I would say that's, you know, anything above just historical averages of seven to nine percent should be a red flag number one. And would typically mean that, you know, you have a high risk situation. And I'm just not sure that's the kind of situation you want to be in with your lifetime of savings from retirement. Yeah. Okay. Thank you. Absolutely Nancy. We appreciate your call.

21:59Thanks for being on the program today. Let's head to Diane from Florida. Go ahead. Hi. I have a daughter who made bad decisions. She's in jail right now. She's in her 50s. When she comes home, she'll have no income, no driver's license, no car. And she's going to be an incredible credit card debt. I wonder what kind of bankruptcy or how we can resolve this. Yeah. Oh, wow. Yeah. Well, I think the first thing is, you know, get her in a Bible believing church and surrounded by a community who can love and support her. Is she a Christ follower at this point? You know, TV creatures. Yeah. Okay. All right. And will she be near you, Diane, when she comes home? Yes. Yes. Okay. Great. Yeah. Hopefully Lord willing, let's pray that, you know, you can get her into a great Bible believing church. What about employment? What will that look like? Does she know? I don't believe that she's going to be able to get an employed half of this.

23:02Yeah. You know, there's some incredible ministries. I mean, for instance, I'm in the Atlanta area. I know you're in Florida, but here in Atlanta, there's several businesses that just really have a heart for those that have been incarcerated. And, you know, I'm thinking of one that, and obviously you've got to be in the, in the skilled in this area, but I'm thinking of one that's a furniture maker. They do just, you know, custom tables and woodworking and they, you know, the majority of their employees are folks who have been previously incarcerated. And that's their ministry is rehabilitation and restoration and giving them gainful work and sharing love of Jesus with them. So I would look in your area, perhaps check with a few churches that you, you know, that are really doing incredible work and certainly Bible believing in your area and ask maybe for a referral to a business or some businesses that really have a heart for those that are trying to rebuild their lives. In terms of the financial situation, did you, did I hear you say, or am I reading here in the notes that she will have a home?

24:02Is that right? She does own her home. And I, I paid the back taxes so there was a lien on it, but I just did that. And so she owns it free and clear, but she's very much in debt. She's had two cars we've got. And, um, yeah. Okay. She here is, you know, that's her only significant asset. Don't sell, transfer, borrow against or give away that house to deal with the debt until you understand exactly the situation she's in. You know, the key is if she can become employed, we could get her in a situation where she could get into a debt management program and start making progress by getting the interest rates down and re-agging the accounts. She certainly may need bankruptcy for a fresh start, a chapter seven. And I get her connected to a godly bankruptcy attorney. Stay on the line. We'll talk a bit more. Big thanks to my team today, Jim, Devon and Sandy. We'll see you next time. Bye-bye. Nathan Finance is provided by 8-5 and listeners like you.